Upper Darby Finance and Operations Committee hears 2025–26 budget update; roughly 3% tax increase assumed

The Upper Darby School District Finance and Operations Committee received an informational briefing on the proposed 2025–26 budget at its meeting. Mr. Rogers, presenting for the district, said the proposed final budget assumes roughly a 3% tax increase and would require the use of fund balance to close a projected $11.1 million gap.

Mr. Rogers summarized the budget numbers and timeline: "Revenues are budgeted at $266.6 million, expenditures at $277.76 million, which leaves us with expenditures exceeding revenues by $11.1 million," he said, adding that a 3% tax increase would add about $3.367 million and reduce the committed use of fund balance to approximately $7.776 million. He described the presentation as informational and reviewed the Act 1 timeline for adoption.

The presentation listed specific grant revenues and capital plans included in the proposed budget. Mr. Rogers said the budget incorporates awarded grants including a PCCD school safety grant of $337,000, a school environmental repair grant of $1.78 million and a DCD life-safety grant of $1.0 million. He also said the district plans an additional bond issuance during 2025–26 to fund capital projects, specifically to close out Clifton Heights Middle School construction.

On state and federal revenue assumptions, Mr. Rogers said the district budgeted 100% of the governor’s proposed basic education and special education funding (an estimated increase of about $275,000 for basic ed and about $771,000 for special ed). He said the Ready to Learn block grant components were budgeted at foundation $10.17 million, adequacy supplement $7.3 million and a tax equity supplement of $781,000, with a 60% offset to expenditures applied for the Ready to Learn portion.

He reported the district included level funding for federal programs IDEA, Title I, Title III and Title IV, and that Title II was excluded from the next-year budget. "Title II reduction is $583,000 on the revenue side," he said, and noted the associated expenditures remain in the budget, increasing the district’s use of fund balance by that amount.

Mr. Rogers said the proposed budget requests no new staff positions for 2025–26 and instead plans to reallocate existing positions across buildings or subject areas as needs dictate. To illustrate taxpayer impact, he presented example annual amounts from the projected tax increase: about $39 on a $50,000 assessed home and about $273 on a $350,000 assessed home.

The presenter reviewed the procedural timeline required under Act 1 and related requirements: the district will advertise a notice of intent to adopt the final budget no later than June 7, present the final budget to the committee on June 17 and ask the board to vote on a resolution to adopt the final budget that same evening. He noted the district must adopt the final budget no later than June 30, 2025, as required by state rules.

A committee member thanked State Senator Tim Kearney and state Representatives Heather Boyd and Gina Curry for advocacy on school funding. There were no virtual public comments during the meeting.

The committee will return on June 17 for the final budget presentation ahead of an expected board vote; the meeting adjourned after a motion to adjourn was moved, seconded and approved.